PLS Plantations Bhd’s wholly-owned subsidiary, Brighthill Synergy Sdn Bhd, has entered into a share subscription agreement to subscribe for 600,000 new ordinary shares in Dulai Fruits Enterprise Sdn Bhd for RM3 million to be satisfied in cash.
At the same time, the company had also entered into a share sale and purchase agreement with Eric Chan Yee Hong for the acquisition of 800,000 Dulai shares from him, for RM18.00 million to be satisfied via the issuance of 24 million new PLS shares at an issue price of 75 sen each.
Post completion of the proposed transaction, PLS will hold 70% equity interest in Dulai, via Brighthill. PLS, in an exchange filing yesterday, noted the proposed transaction will enable the group to diversify into the Durian businesses and reduce its reliance on its current core palm oil business.
The proposed transaction is expected to be completed by the fourth quarter of 2018.